Adjudication and Decisions

When FINRA determines that violations of securities rules have occurred and formal disciplinary action is necessary, the Enforcement Department or Market Regulation Department files a complaint with the Office of Hearing Officers (OHO).

The Office arranges a three-person panel to hear the case. The panel is chaired by a hearing officer who is an employee of the Office of Hearing Officers. The Chief Hearing Officer appoints two industry panelists, drawn primarily from a pool of current and former securities industry members of FINRA's District Committees, as well as its Market Regulation Committee, former members of FINRA's National Adjudicatory Council (NAC) and former FINRA Governors.

At the hearing, the parties present evidence for the panel to determine whether a firm or individual has engaged in conduct that violates FINRA rules, SEC regulations or federal securities laws. In reaching its decision, the hearing panel also considers previous court, SEC, and NAC decisions to determine if violations occurred. The NAC is the national committee which reviews initial decisions rendered in FINRA disciplinary and membership proceedings.

For each case, the hearing panel will issue a written decision explaining the reasons for its ruling and consult the FINRA Sanction Guidelines to determine the appropriate sanctions if violations have occurred. FINRA also, when feasible and appropriate, can order firms and individuals to make restitution to harmed customers.

Appeals Process

Under FINRA's disciplinary procedures, a firm or individual has the right to appeal a hearing panel decision to the NAC, or the NAC may on its own initiate a review of a decision. On appeal, the NAC will determine if a hearing panel's findings were legally correct, factually supported and consistent with FINRA's Sanction Guidelines. While a panel decision is on appeal, the sanction is not enforced against the firm or individual.

Unless FINRA's Board of Governors decides to review the NAC's appellate decision, that decision represents FINRA's final action. A firm or individual can appeal FINRA's decision to the SEC and then to federal court.

Date of Decision Proceeding No. Titlesort descending Type
Aug 10, 2015 SD-MCDC-022 et al. First National Capital Markets, Inc., L.J. Hart and Company, Inc., Loop Capital Markets LLC, Martin Nelson & Co., Inc., Siebert, Brandford, Shank & Co., LLC, Smith Hayes Financial Services Corporation, Wells Nelson & Associates, LLC Statutory Disqualification, Approvals
Aug 5, 1997 C10950101 Forbes, Walsh, Kelly & Co., Inc., & Robert E. Kelly Disciplinary Decision
Feb 24, 2005 C3A030017 Fox & Company Investments, Inc. and James W. Moldermaker Disciplinary Decision
Mar 9, 2015 2012030724101 APPEALED: Fox Financial Management Corporation, Brian A. Murphy, and James E. Rooney, Jr. Disciplinary Decision
Jan 6, 2017 2012030724101 Fox Financial Management Corporation, Brian A. Murphy, James E. Rooney, Jr. Disciplinary Decision
Feb 9, 1999 C06950029 Frank J. Ingersoll Disciplinary Decision
Nov 13, 2003 CAF000013 Frank J. Skelly, III and Craig H. Gross Disciplinary Decision
Nov 22, 2004 CAF030008 Frank Peter Quattrone Disciplinary Decision
Jan 3, 2002 C07000033 Franklyn Ross Michelin & L.H. Ross & Co., Inc. Disciplinary Decision
Sep 25, 2015 2012034211301 APPEALED: Fuad Ahmed Disciplinary Decision
Feb 26, 2015 SD-2024 G-Trade Services LLC Statutory Disqualification, Approvals
Mar 13, 2018 SD-2137 APPEALED: Gabriel Block Statutory Disqualification, Denials
Dec 10, 2014 2011025957702 Gary Giblen Disciplinary Decision
Feb 18, 2016 FPI150009 Gary James Lundgren Expedited Decision, Non-Summary Proceeding
Oct 11, 2007 E0220030425-01 Geoffrey Ortiz Disciplinary Decision
Apr 14, 2014 SD-2030 George L. Prost with Intercoastal Capital Markets, Inc. Statutory Disqualification, Approvals
Apr 26, 2002 C10000037 George M. Goritz Disciplinary Decision
Jan 21, 1999 C3B960026 Gerald Cash McNeil Disciplinary Decision
Feb 26, 2010 2005001729501 Gerald J. Kesner Disciplinary Decision
Apr 5, 2018 2015044600801 Gerard Chandler Gremillion Disciplinary Decision
Jul 2, 1998 C01970017 Glen McKinley Richars, III Disciplinary Decision
Jul 20, 2017 2015044444801 Glenn Robert King Disciplinary Decision
Dec 11, 2017 SD-2144 Goldman, Sachs & Co. Statutory Disqualification, Approvals
Aug 10, 2015 SD-MCDC-026 et al. Goldman, Sachs & Co., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, Oppenheimer & Co. Inc., RBC Capital Markets, LLC, Stifel, Nicolaus & Company, Inc. Statutory Disqualification, Approvals
Oct 25, 2017 2014042291901 APPEALED: Gopi K. Vungarala Disciplinary Decision

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